Hello!

As we approach the halfway point for 2023, I’d like to share a brief overview on the markets and help you think about your financial plan. Also, be sure to check out my short YouTube video below for additional commentary! 

Strengths:

1. Large Cap Stocks (up over 9% by the end of May ‘23) 
2. Money markets, CD’s and T-Bills, yielding approximately 5%!

Weaknesses

1. The Fed continuing to raise interest rates
2. Banks, Real Estate Investors impacted by high interest rates
3. Small Cap and International Stocks showing relatively slower growth compared to Large Cap Stocks thus far 

Opportunities

1. Investing in profitable, reasonably priced companies such as Value and Dividend paying companies 
2. Dollar Cost Averaging into the market (for those who are still working)
3. Learning from last years volatility and staying diversified (more on this in my YouTube Video) 

Threats

1. Potential for interest rates staying higher for longer than investors anticipate, which could lead to slow growth or a recession in the future

In summary, while the market was tumultuous last year, this year the market has offered a  welcomed respite. 

For now I remain optimistic that the market and economy will slowly move forward since unemployment is still low and most Americans are spending money, which helps propel stock prices. 

While anything could happen next, the most successful financial plans are those with clearly defined goals, times frames, and risk profile. That way, you can weather any storm and stay on track for financial independence. 

Want to chat more? Please feel free to reply to john.chapman@wpwm.com and we can schedule a call.